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Watts Water Technologies (Watts Water Technologies) Cyclically Adjusted Price-to-FCF : 38.90 (As of Apr. 28, 2024)


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What is Watts Water Technologies Cyclically Adjusted Price-to-FCF?

As of today (2024-04-28), Watts Water Technologies's current share price is $201.50. Watts Water Technologies's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was $5.18. Watts Water Technologies's Cyclically Adjusted Price-to-FCF for today is 38.90.

The historical rank and industry rank for Watts Water Technologies's Cyclically Adjusted Price-to-FCF or its related term are showing as below:

WTS' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 16.22   Med: 24.59   Max: 50.69
Current: 38.9

During the past years, Watts Water Technologies's highest Cyclically Adjusted Price-to-FCF was 50.69. The lowest was 16.22. And the median was 24.59.

WTS's Cyclically Adjusted Price-to-FCF is ranked worse than
58.37% of 1016 companies
in the Industrial Products industry
Industry Median: 32.505 vs WTS: 38.90

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted free cash flow per share of a company over the past 10 years.

Watts Water Technologies's adjusted free cash flow per share data for the three months ended in Dec. 2023 was $2.961. Add all the adjusted free cash flow per share for the past 10 years together and divide 10 will get our Cyclically Adjusted FCF per Share, which is $5.18 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


Watts Water Technologies Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Watts Water Technologies's Cyclically Adjusted Price-to-FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Watts Water Technologies Cyclically Adjusted Price-to-FCF Chart

Watts Water Technologies Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 29.59 33.19 47.95 32.34 40.22

Watts Water Technologies Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Cyclically Adjusted Price-to-FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 32.34 35.57 37.47 34.08 40.22

Competitive Comparison of Watts Water Technologies's Cyclically Adjusted Price-to-FCF

For the Specialty Industrial Machinery subindustry, Watts Water Technologies's Cyclically Adjusted Price-to-FCF, along with its competitors' market caps and Cyclically Adjusted Price-to-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Watts Water Technologies's Cyclically Adjusted Price-to-FCF Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Watts Water Technologies's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where Watts Water Technologies's Cyclically Adjusted Price-to-FCF falls into.



Watts Water Technologies Cyclically Adjusted Price-to-FCF Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted Price-to-FCF takes the Free Cash Flow per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/FCF calculation. Because it considers this 10-year average, it's often referred to as the CAPFCF Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF.

Watts Water Technologies's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=201.50/5.18
=38.90

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Watts Water Technologies's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 is calculated as:

For example, Watts Water Technologies's adjusted Free Cash Flow per Share data for the three months ended in Dec. 2023 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=2.961/129.4194*129.4194
=2.961

Current CPI (Dec. 2023) = 129.4194.

Watts Water Technologies Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 -0.668 99.695 -0.867
201406 0.890 100.560 1.145
201409 1.401 100.428 1.805
201412 1.528 99.070 1.996
201503 -0.136 99.621 -0.177
201506 0.974 100.684 1.252
201509 -0.191 100.392 -0.246
201512 1.705 99.792 2.211
201603 -0.901 100.470 -1.161
201606 0.571 101.688 0.727
201609 1.586 101.861 2.015
201612 1.704 101.863 2.165
201703 -0.432 102.862 -0.544
201706 0.374 103.349 0.468
201709 1.695 104.136 2.107
201712 1.997 104.011 2.485
201803 -0.971 105.290 -1.194
201806 0.573 106.317 0.698
201809 1.634 106.507 1.986
201812 2.633 105.998 3.215
201903 -0.909 107.251 -1.097
201906 1.067 108.070 1.278
201909 2.058 108.329 2.459
201912 2.602 108.420 3.106
202003 -0.287 108.902 -0.341
202006 0.979 108.767 1.165
202009 2.068 109.815 2.437
202012 2.688 109.897 3.166
202103 0.855 111.754 0.990
202106 0.920 114.631 1.039
202109 1.625 115.734 1.817
202112 1.145 117.630 1.260
202203 -0.225 121.301 -0.240
202206 1.173 125.017 1.214
202209 1.024 125.227 1.058
202212 3.875 125.222 4.005
202303 0.845 127.348 0.859
202306 1.804 128.729 1.814
202309 2.776 129.860 2.767
202312 2.961 129.419 2.961

Add all the adjusted free cash flow per share together and divide 10 will get our Cyclically Adjusted FCF per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Watts Water Technologies  (NYSE:WTS) Cyclically Adjusted Price-to-FCF Explanation

Compared with the regular Price-to-Free-Cash-Flow, which works poorly for cyclical businesses, the Cyclically Adjusted Price-to-FCF smoothed out the fluctuations of free cash flow during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted Price-to-FCF should give similar results to regular Price-to-Free-Cash-Flow.


Watts Water Technologies Cyclically Adjusted Price-to-FCF Related Terms

Thank you for viewing the detailed overview of Watts Water Technologies's Cyclically Adjusted Price-to-FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


Watts Water Technologies (Watts Water Technologies) Business Description

Traded in Other Exchanges
Address
815 Chestnut Street, North Andover, MA, USA, 01845
Watts Water Technologies Inc is a U.S.-based company that provides safety, energy efficiency, and water conservation products. The company's product portfolio includes residential and commercial flow control products, which are sold for plumbing and hot water applications; HVAC and gas products, including commercial boilers, water heaters, heating solutions, and heating systems; drainage and water reuse products, including drainage products and engineered rainwater-harvesting solutions; and water quality products, including point-of-use and point-of-entry water filtration, conditioning, and scale prevention systems. The company generates the majority of its revenue from markets in the Americas and in Europe, the Middle East, and Africa.
Executives
Kenneth Robert Lepage officer: General Counsel WATTS WATER TECHNOLOGIES, INC., 815 CHESTNUT STREET, NORTH ANDOVER MA 01845
Shashank Patel officer: Chief Financial Officer 1 INTERNATIONAL DRIVE, RYE BROOK NY 10573
Elie Melhem officer: President, Asia WATTS WATER TECHNOLOGIES, INC., 815 CHESTNUT STREET, NORTH ANDOVER MA 01845
Joseph T Noonan director WATTS WATER TECHNOLOGIES, INC., 815 CHESTNUT STREET, NORTH ANDOVER MA 01845
Timothy P Horne director, 10 percent owner WATTS INDUSTRIES INC, ROUTE 815 CHESTNUT ST, NORTH ANDOVER MA 01845
Pagano Robert J Jr officer: President and CEO WATTS WATER TECHNOLOGIES INC., 815 CHESTNUT ST, NORTH ANDOVER MA 01845
Andre Dhawan officer: Chief Operating Officer WATTS WATER TECHNOLOGIES INC., 815 CHESTNUT ST., NORTH ANDOVER MA 01845
Monica Barry officer: Chief HR Officer WATTS WATER TECHNOLOGIES INC., 815 CHESTNUT ST., NORTH ANDOVER MA 01845
Munish Nanda officer: President, Americas 1133 WESTCHESTER AVENUE, C/O ITT CORPORATION, WHITE PLAINS NY 10604
Michael J. Dubose director WATTS WATER TECHNOLOGIES INC., 815 CHESTNUT ST., NORTH ANDOVER MA 01845
Louise K Goeser director C/O PPL CORPORATION, TWO NORTH NINTH STREET, ALLENTOWN PA 18101
Todd A Trapp officer: Chief Financial Officer C/O WATTS WATER TECHNOLOGIES, INC., 815 CHESTNUT STREET, NORTH ANDOVER MA 01845
David A. Dunbar director 11 KEEWAYDIN DRIVE, SUITE 300, SALEM NH 03079
Jes Munk Hansen director 815 CHESTNUT STREET, NORTH ANDOVER MA 01845
Jennifer Congdon officer: Chief HR Officer WATTS WATER TECHNOLOGIES, INC., 815 CHESTNUT STREET, NORTH ANDOVER MA 01845